Nursing Chain Settles Claims: Beverly Enterprises agrees to pay $20 million to end accusations that its subsidiary fraudulently billed Medicare and Medi-Cal
California Los Angeles, CA - Nursing home operator Beverly Enterprises Inc. has agreed to pay $20 million to settle allegations that it defrauded federal and California healthcare programs, the Justice Department announced Friday. The Fort Smith, Ark.-based company, once the nation's largest nursing home chain with 60 facilities in California, was accused of submitting false reimbursement claims to Medicare and Medi-Cal through a now-defunct subsidiary, MK Medical. Medicare is the federal health plan for seniors and disabled people. Medi-Cal is a federally funded, state-run health plan for the poor.
August 22, 2006